The GE Effects of Parallel Imports
Type
presentation
Date Issued
2018-12-13
Author(s)
Abstract
When there is pricing-to-market, monopolistic producers set high (low) prices in rich (poor) countries but a threat of parallel trade restricts the scope of price discrimination between countries. The threat of parallel trade allows differences in per capita incomes to have a strong impact on the extensive margin of trade, whereas differences in population sizes have a weaker effect. We show that the welfare gains from trade liberalization are biased towards rich countries.
Language
English
HSG Classification
contribution to scientific community
HSG Profile Area
SEPS - Economic Policy
Event Title
Quantagg Workshop in International Economics
Event Location
München, Ifo
Event Date
13.-14.12.18
Subject(s)
Eprints ID
256182
File(s)![Thumbnail Image]()
open.access
Name
Threat of parallel imports - Foellmi and Zweimueller.pdf
Size
192.23 KB
Format
Adobe PDF
Checksum (MD5)
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